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Blackduck Council approves purchase fire truck

Members of the Blackduck City Council met for a special meeting June 20 to discuss and approve the recommendation of the Public Safety Committee to purchase a fire truck.

The committee met June 13 To discuss and make recommendation to the council regarding purchase of a fire truck.

Blackduck Fire Chief Rick Bogart told the safety committee about a truck that he feels has been negotiated to a very fair price and it would suit the department’s needs very well.

“When the truck was originally presented back in April the selling price was $149,400,” Bogart said, “and currently, we can purchase the truck for $128,500 delivered and that will include the installation of a 750 gallon poly water tank, winter pump package and necessary gate valves.”

The council were informed that the fire department has an equipment grant with FEMA and if there are equipment needs for the truck, payment of such can be made with the FEMA funds. In the event the equipment needs are not defined within the grant application, the committee could consider an amendment to the grant.

The committee then discussed what funding opportunities would be used in order to purchase the truck. Financing options included 5 percent interest and $2,500 for bond counsel.

The consensus of the safety committee were that this would not be in the best interest of the department.

Currently, there is an outstanding FEMA reimbursement for the purchase of a thermal imaging camera. Upon receipt of these funds they will be reimbursed to the truck reserve fund in the amount of approximately $9,000.

“Also to be included in the reserve fund is our 2011 depreciation in the amount of $17,259. Therefore, the total reserve funds will amount to approximately $129,000, said Blackduck City Administrator Karin Elhard.

A suggestion to utilize General Unreserved funds could be utilized as deemed necessary.

There was some discussion on whether or not to utilize the reserve funds in their entirety but realizing the additional expense of interest and bond counsel when financing, this option for financing did not prove itself cost effective for the project.

Upon further discussion it was the consensus of the committee to recommend to the city council consideration to purchase the 2002 International fire truck in the amount of $128,500 and to utilize the reserve funds for the purchase. The group also felt it would be best if the council could meet earlier than July 5 to receive the committee’s recommendation, as the negotiated price might not be available for that length of time.

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